April 17, 2024
The Statistical Institute of Jamaica (STATIN) reported that for March 2024, the point-to-point inflation rate was +5.6%; 0.6 percentage points lower than the prior point-to-point inflation rate. However, for the month of March 2024, the inflation rate was -0.5%, the third consecutive monthly decline.
The main driver of the monthly decrease (0.5%) was a 1.8% decline in the index for the ‘Food and Non-Alcoholic Beverages’ division owing to continued decreases in the prices of some agricultural produce, which drove the index for the ‘Vegetables, tubers, plantains, cooking bananas and pulses’ class down by 8.6%. The monthly decrease was tempered by a 0.9% rise in the index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division due to higher rates for electricity. An increase was also registered in the index for the ‘Transport’ division (0.2%) owing primarily to higher petrol prices.
The upward movement in All Items (5.6%) between March 2023 and March 2024 was mainly impacted by the lower rate of increase for the heaviest weighted division: ‘Food and Non-Alcoholic Beverages’. In March, the ‘Food and Non-Alcoholic Beverages’ division experienced a 4.8% increase relative to 7.7% in February. The movement in All Items was also related to increases in the divisions: ‘Transport’ (10.0%) and ‘Housing, Water, Electricity, Gas and Other Fuels’ (2.9%).
The main contributor to the growth in the index for the ‘Food and Non-Alcoholic Beverages’ division was the 4.6% increase in the ‘Food’ group, which was influenced by increases in the classes: ‘Fruit and Nut’ (12.7%), ‘Cereal and Cereal products’ (4.1%) and ‘Vegetables, tubers, plantains, cooking bananas, and pulses’ (3.2%), owing to higher prices for products such as watermelons, pineapples, tomatoes, cornflakes, biscuits and other pastries.
The main factor impacting the index for the ‘Transport’ division was a 14.5% rise in the ‘Passenger Transport Services’ group, which was influenced primarily by an increase of 14.6% in the index for the ‘Passenger transport by road’ class, which grew because of the 19.0% increase in route taxi and hackney carriage fares that took effect on October 15, 2023.
The index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division went up because of an increase in the ‘Imputed Rent’ group (4.3%), tempered by a 0.2% fall in the index for the ‘Electricity, Gas and Other Fuels’ group over the period.
MAJOR CPI DIVISION MOVEMENTS
The index for the ‘Food and Non-Alcoholic Beverages’ division decreased by 1.8% for March 2024. The movement resulted mainly from a 2.0% drop in the ‘Food’ group index, while the ‘Non-Alcoholic Beverages’ group index increased by 0.4%. The ‘Food’ group index was influenced mainly by an 8.6% decrease in the ‘Vegetables, tubers, plantains, cooking bananas and pulses’ class, due to lower prices for carrot, cabbage, tomato, sweet potato, and yam. This downward movement in the division’s index was tempered by increases in the index for the classes: ‘Cereal and cereal products’ (0.2%) and ‘Meat and other parts of slaughtered land animals’ (0.3%). All classes within the ‘Non-Alcoholic Beverages’ group increased: ‘Fruit and Vegetable Juices’ (0.6%), ‘Coffee, Tea, Cocoa’ (0.4%), and Water, Soft drinks, and Other Non-Alcoholic Beverages’ (0.3%).
The point-to-point inflation rate for this division was 4.8%.
The index for the ‘Alcoholic Beverages, Tobacco and Narcotics’ division increased by 0.3% for March 2024. The upward movement was influenced primarily by a 0.3% rise in the index for the ‘Alcoholic Beverages’ group as higher prices were registered for wine, beer, spirits and liquors. An increase was also registered in the ‘Tobacco’ group (0.2%).
The point-to-point inflation rate for this division was 4.4%.
The index for the ‘Clothing and Footwear’ division increased by 0.2% for March 2024. The ‘Clothing’ and ‘Footwear’ groups each grew by 0.2%.
The point-to-point inflation rate for this division was 3.7%.
The index for the ‘Housing, Water, Electricity, Gas and Other Fuels’ division increased by 0.9% for March 2024. This was mostly due to higher electricity rates driving the index for the ‘Electricity, Gas and Other Fuels’ group up by 2.6%. This upward movement in the division’s index was tempered by a decline in the index for the group: ‘Water Supply and Miscellaneous Services Relating to the Dwelling’ (0.2%) – due to lower water and sewage rates.
The point-to-point inflation rate for this division was 2.9%.
The index for the ‘Furnishings, Household Equipment and Routine Household Maintenance’ division increased by 0.2% for March 2024. This was mainly influenced by a 0.2% rise in the index for the ‘Goods and Services for Routine Household Maintenance’ group, owing to higher prices for detergents, soaps, and disinfectants.
The point-to-point inflation rate was 9.8%.
The index for the ‘Health’ division increased by 0.5% for March 2024. This was largely due to an increase in the index for the ‘Medicines and Health Products’ group (0.4%). Additionally, increases were registered in the index for the groups: ‘Outpatient Care Services’ (1.2%) and ‘Other Health Services’ (0.6%).
The point-to-point inflation rate was 4.2%.
The index for the ‘Transport’ division increased by 0.2% for March 2024. This was mainly impacted by a 0.7% rise in the index for the ‘Operation of Personal Transport Equipment’ group due to higher petrol prices.
The point-to-point inflation rate was 10.0%.
The index for the ‘Information and Communication’ division decreased by 0.4% for March 2024. This movement was mainly impacted by a 0.5% decline in the index for the group: ‘Information and Communication Services’.
The point-to-point inflation rate was 5.2%.
The index for the ‘Personal Care, Social Protection and Miscellaneous Good and Services’ division increased by 0.2% for March 2024. This was largely due to higher prices for some personal care products and services.
The point-to-point inflation rate was 4.1%.
Individual divisions saw the following changes:
- Food and Non-Alcoholic Beverages: (-1.8%)
- Alcoholic Beverages, Tobacco and Narcotics: (+0.3%)
- Clothing and Footwear: (+0.2%)
- Housing, Water, Electricity, Gas and Other Fuels: (+0.9%)
- Furnishing, Household Equipment and Routine Household Maintenance: (+0.2%)
- Health: (+0.5%)
- Transport: (+0.2%)
- Information and Communication: (-0.4%)
- Recreation, Sport and Culture: (0.0%)
- Education: (0.0%)
- Restaurants and Accommodation Services: (0.0%)
- Insurance and Financial Services (0.0%)
- Personal Care, Social Protection and Miscellaneous Goods and Services: (+0.2%)
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